2017 (8) TMI 1318 - SCH - Companies Law

Corporate insolvency procedure - Insolvency Bankruptcy Code, 2016 - eligible debt existence - Held that - . We do not find any reason to interfere with the order passed by the National Company Law Appellate Tribunal, New Delhi. 2017 (9) TMI 1130 - NATIONAL COMPANY LAW APPELLATE TRIBUNAL, MUMBAI wherein held the 'Corporate Debtor' had a liability and obligation in respect of claim of respondent which includes the 'Financial Debt', including those come within clause (c) of sub-section (8) of Section 5. As per the agreement, the same was liable to be paid from the date of maturity along with interest, if any and the same having not paid, the default of debt is apparent. This apart we find that the amount of debt and interest, as shown by appellant was to be disbursed against consideration for time value of the money. Therefore, it cannot be stated that debentures on maturity do not come within the purview of amount payable against the consideration for the time value of the money.Learned Adjudicating Authority having admitted the application under Section 7, the application being complete, no interference is called for.

Summary

The Supreme Court dismissed the appeal and upheld the order of the National Company Law Appellate Tribunal, New Delhi. The question of whether the Limitation Act applies to the proceeding was left open.